Downsizing Meaning in Property

If you are thinking of moving to a smaller home, you may be wondering what the advantages are and what you need to be aware of. We take a look at the downsizing meaning in property and the benefits it can offer. 

At Lockings Solicitors, we regularly represent clients who are moving to smaller properties. We have been carrying out conveyancing in East Yorkshire and beyond for many years and we have a high level of expertise in dealing with even the most complex transactions.  

We are known for our outstanding level of service and often represent families in their home moves over many years. We have the experience to deal quickly and efficiently with any problems that may arise and we always aim to make the moving process as easy and stress-free as possible. 

We are on the panels of approved solicitors of all major mortgage lenders and hold the Law Society’s Conveyancing Quality Scheme (CQS) accreditation in recognition of our high levels of legal competence, risk management and client service. 

Downsizing meaning 

Downsizing generally refers to moving to a smaller property, although the term is also sometimes used in respect of moving to a less expensive home.  

It is often a choice people make when there is a change in circumstances, such as children leaving home or a divorce or separation. It can also be a good way of reducing outgoings and freeing up equity. 

Advantages of downsizing 

Although there are some aspects of downsizing that may be challenging, such as reduced space or leaving a much-loved home or neighbourhood, there are also many potential advantages, including: 

A home that is easier to manage 

A larger home takes significantly more hours to manage and maintain than a smaller property. Whether you have a big garden or lots of inside space, keeping a sizeable house clean, tidy and well-maintained can be time-consuming. Period properties can be particularly demanding. Even if you decide to employ someone to carry out work, there is still time involved in arranging this.  

Moving to a smaller property can often feel like a release, with more time available to do the things you enjoy and fewer jobs that need to be carried out. 

Lower outgoings 

Along with saving time, having a smaller home will also usually bring reduced outgoings. There is less to heat, less to repair and generally lower Council Taxes. If you are able to pay off your mortgage, you will also save by not having to pay interest to your lender. 

The opportunity to reduce clutter 

Downsizing gives you the opportunity to go through everything you have accumulated over the years and declutter. Having fewer possessions can make life simpler, with less cleaning and organising to be done and items easier to find.  

Pay off mortgage or release equity 

If you have a mortgage, downsizing may mean that you can pay this off or reduce the amount you are borrowing. If you don’t have a mortgage, then you can release equity to use elsewhere, such as helping your children onto the property ladder or buying a holiday home. 

Move to a new area 

If you are buying a smaller property, you might be able to move to a new area. This could potentially be a more expensive or sought-after area, for example, you may want to live by the sea or move somewhere rural, where homes tend to be pricier. Alternatively, you might choose to move into retirement accommodation with all of the amenities that this can offer. 

How to downsize 

Work out your budget 

The first step is to decide how much you want to spend on your new home. This may depend on how much equity you want to release or you might be led by how much properties cost in your desired location. Don’t forget to factor in the costs of moving, which will generally include estate agency fees and Stamp Duty as well as legal costs, search fees and the Land Registry’s fee. If you have a mortgage, you are likely to be charged an administration fee when this is redeemed and, in some cases, a penalty for leaving. 

If you would like an estimate of the legal costs, feel free to call us and we will go through these with you, to include the additional expenses such as Stamp Duty. 

Find the right area 

If you want to move to a new area, it is worth doing some in-depth research. As well as looking at issues such as amenities, crime rates and flood risk, make sure that the local community is one that you can envisage fitting into easily. This is particularly important if you don’t work, for example, if you will be retiring. Having the right people and activities around can make a big difference to your quality of life. 

Think ahead 

If you would like to stay in your new home for a long time, think ahead to what you might need in the future. For example, if you plan to spend your retirement there, does it have the facilities you might need such as healthcare and public transport. 

You also need to decide what sort of property will be right for you in the long-term, such as a smaller garden or a single-storey home. 

Start reducing your belongings 

If you have made the decision to downsize, start reducing your belongings as soon as you can to make sure you rehome them in the best possible way. Ask family members to take anything of theirs you hold in storage and see if they would like any extra furniture or possessions. You can then sell items you don’t need or donate them. 

Contact our East Yorkshire and York area conveyancing solicitors 

If you are thinking about downsizing, we would be delighted to represent you. We provide a high level of service and will deal promptly with your sale and purchase, giving your transactions the best possible chance of success.